BUSINESS AND TECH NEWS

BUSINESS AND TECH NEWS

"Inexplicable" – Transport Minister on rising motor insurance prices

Transport Minister Shane Ross at Government Building in Dublin | Image: RollingNews.ie

17:23 29 Jun 2016
Craig Fitzpatrick
17:23 Wednesday 29 June 2016

Minister for Transport Shane Ross has expressed bewilderment at the ever-increasing cost of motor insurance in Ireland.

The Minister admitted that explanations are required as to how premiums have shot up in recent years, and is looking at his own department to ramp up efforts to get to the bottom of the situation.

While the Department of Finance has already launched a review of the sector, Ross believes more needs to be done.

The Independent TD said:

"This requires further investigation. And we'll engage with Insurance Ireland and meet them and maybe the Minister for Justice as well. Because I think it's inexplicable and we haven't had proper explanations for why they have gone up so much in such a short time."

Earlier this month, the Government passed a Fianna Fáil motion calling for the establishment of a taskforce to look at why insurance premiums have risen by hundreds of euro in the past two years.

Fianna Fáil has also been demanding the creation of a National Claims Register to force insurance companies to publish anonymised details of all of their payouts.

As much as 80% of the claims lodged with the Injuries Board are now being settled outside its remit, with secret cash settlements taking place between road accident victims and insurers.

Insurance Ireland has blamed hikes in premiums that have seen a 35% average rise for motorists on "the spiralling cost of claims."